Multiple Choice
The marginal benefit from investment is
A) the ratio of investment to expected future profits.
B) is related to economic activity and the real interest rate.
C) is what one unit of investment in the current period adds to the present value of profits.
D) is what one unit of investment adds to the current capital stock.
E) is what one unit of investment costs when funds are borrowed.
Correct Answer:
Verified
Correct Answer:
Verified
Q5: The marginal cost of investment for the
Q6: The marginal benefit from investment comes from<br>A)
Q7: The marginal benefit from investment for a
Q8: Optimal investment is<br>A) negatively related with the
Q9: The partial expenditure multiplier<br>A) is the total
Q11: An asymmetric information problem arises when<br>A) interest
Q12: The total government expenditure multiplier is<br>A) larger
Q13: The firm will hire current labour until<br>A)
Q14: If firm-level asymmetric information becomes more severe,then<br>A)
Q15: How many of the following business cycle